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Delhi, 4 more opt for direct debit in state e-bus scheme
Mint Mumbai
|November 11, 2023
States will be responsible for running the bus services and making payments to operators
With the central government formulating a payment security mechanism to boost adoption of electric buses, Jammu & Kashmir, Punjab, Delhi, Haryana and Chandigarh have so far agreed on the direct debit mechanism under the scheme.
Under the payment security mechanism envisaged for the scheme, the government has worked out a direct debit mechanism (DDM) whereby in case a state fails to make monthly payments, Reserve Bank of India (RBI) will deduct the amount from their accounts and pay it towards the payment security mechanism (PSM).
“Only those states which agree to DDM will be able to participate in PSM. Some states have given consent, J&K, Chandigarh, Haryana, Punjab, Delhi.
The finance ministries of other states are considering the issue," said one of the people in the know of the developments.
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